Incredible unemployment figures out of Spain yesterday, ensured EUR/USD was headed in one direction only – UP. The only chance we had to trade the rally was right on the News release so no order. At day’s end, the Double Bottom I wasn’t trusting yesterday, proved trustworthy after all.
Whilst Price Action (PA) failed to make a new High Yesterday, it was a pretty solid response to Monday’s selling and Daily Pivot (DP) recovered sufficiently to restore Bullish Pivot formation. The Bullish nature remains locked inside a Channel (Flag) #1 however and my doubt over clear direction remains. The recently tested DP has again failed to hold up PA, perhaps it can ultimately, offer some Support? If so, the new Flag #2, could be the guide for the day.
The Day Ahead
I’m slightly Bullish but happy to go with PA when it comes to my Hotspots.
High Impact News – CET
|2:15pm||USD||ADP Non-Farm Employment Change|
|USD||ISM Non-Manufacturing PMI|
|USD||New Home Sales|
Wonderful Wednesday all.